Melbourne

Melbourne lies within the top 10% of areas nationally in terms of population growth performance according to AreaSearch analysis of short and medium-term trends

Based on analysis of ABS population updates for the broader area, and new addresses validated by AreaSearch, the suburb of Melbourne's population is estimated at around 74,776 as of May 2026. This reflects an increase of 19,835 people (36.1%) since the 2021 Census, which reported a population of 54,941 people. The change is inferred from the resident population of 74,685, estimated by AreaSearch following examination of the latest ERP data release by the ABS in June 2025 and an additional 581 validated new addresses since the Census date. This level of population equates to a density ratio of 11,346 persons per square kilometer, placing it in the top 10% of national locations assessed by AreaSearch. Melbourne's 36.1% growth since the 2021 census exceeded the state (9.3%) and the national average, marking it as a growth leader in the region. Population growth for the suburb was primarily driven by overseas migration contributing approximately 96.0% of overall population gains during recent periods, although all drivers including natural growth and interstate migration were positive factors.

AreaSearch is adopting ABS/Geoscience Australia projections for each SA2 area, as released in 2024 with 2022 as the base year. For any SA2 areas not covered by this data, AreaSearch is utilising the VIC State Government's Regional/LGA projections released in 2023 with adjustments made employing a method of weighted aggregation of population growth from LGA to SA2 levels. Growth rates by age group from these aggregations are also applied across all areas for years 2032 to 2041. As we examine future population trends, a significant population increase in the top quartile of national statistical areas is forecast, with the suburb expected to expand by 24,800 persons to 2041 based on aggregated SA2-level projections, reflecting an increase of 33.0% in total over the 16 years.

The level of residential development activity in Melbourne was found to be higher than 90% of real estate markets across the country

Melbourne has received approximately 180 dwelling approvals annually over the past five financial years, totalling an estimated 904 homes. As of FY26714 approvals have been recorded. On average, each new dwelling constructed between FY21 and FY25 accommodates around 11.3 new residents per year. This demand outpaces supply, potentially influencing prices and buyer competition.

The average construction cost for new dwellings is $449,000, slightly higher than the regional average, indicating a focus on quality developments. In FY26, commercial approvals totalled $1.43 billion, reflecting robust local business investment. Detached dwellings account for approximately 1% of new building activity, with attached dwellings making up the remaining 99%.

This trend towards denser development caters to downsizers, investors, and entry-level buyers. Melbourne's population is projected to grow by 24,709 residents by 2041. If current development rates persist, housing supply may not keep pace with population growth, potentially intensifying buyer competition and supporting stronger price growth.

Melbourne has very high levels of nearby infrastructure activity, ranking in the top 10% nationally

Changes to local infrastructure significantly influence an area's performance. AreaSearch has identified 252 projects likely impacting the area. Notable projects include the Greenline Project, Level Crossing Removal Project, Queen Victoria Market Precinct Renewal, and South Melbourne Town Hall Restoration. The following list details projects likely most relevant.

Professional plan users can use the search below to filter and access additional projects.

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The employment environment in Melbourne shows above-average strength when compared nationally

Melbourne has a highly educated workforce with strong representation in professional services. The unemployment rate was 3.8% as of an unspecified date. Employment growth over the past year was estimated at 4.7%.

As of December 2025, 53,491 residents were employed while the unemployment rate was 1.0% below Greater Melbourne's rate of 4.8%. Workforce participation was 76.7%, compared to Greater Melbourne's 69.9%. According to Census responses, 39.4% of residents worked from home, though Covid-19 lockdown impacts should be considered. Key industries of employment among residents were accommodation & food, professional & technical, and health care & social assistance.

The area showed strong specialization in accommodation & food with an employment share of 2.9 times the regional level, while construction was under-represented at 3.6% compared to Greater Melbourne's 9.7%. There were 4.9 workers for every resident as at the Census, indicating the area functions as an employment hub attracting workers from surrounding areas. Over the 12 months to December 2025, employment increased by 4.7% while labour force increased by 4.7%, with unemployment remaining essentially unchanged. By comparison, Greater Melbourne recorded employment growth of 2.4%, labour force growth of 2.8%, and an increase in unemployment of 0.3 percentage points. Jobs and Skills Australia's national employment forecasts from May-25 project national employment to expand by 6.6% over five years and 13.7% over ten years, with growth rates varying significantly between industry sectors. Applying these projections to Melbourne's employment mix suggests local employment should increase by 7.0% over five years and 14.0% over ten years, though this is a simple weighting extrapolation for illustrative purposes and does not take into account localised population projections.

Income figures position the area below 75% of locations analysed nationally by AreaSearch

According to AreaSearch's aggregation of the latest postcode level ATO data released on 30 June 2023, Melbourne suburb had a median income among taxpayers of $42,612 with an average level standing at $67,203. This is approximately average nationally and compares to levels of $57,688 and $75,164 across Greater Melbourne respectively. Based on Wage Price Index growth of 9.62% since financial year 2023, current estimates would be approximately $46,711 (median) and $73,668 (average) as of March 2026. From the Census conducted in August 2021, personal income ranks at the 61st percentile ($864 weekly), while household income sits at the 32nd percentile. Distribution data shows that the predominant cohort spans 31.5% of locals (23,554 people) with incomes ranging from $1,500 to $2,999, aligning with regional levels where this cohort likewise represents 32.8%. Housing affordability pressures are severe, with only 76.8% of income remaining after housing costs, ranking at the 22nd percentile. The area's SEIFA income ranking places it in the 8th decile.

Melbourne features a more urban dwelling mix with significant apartment living, with a higher proportion of rental properties than the broader region

In Melbourne, as per the latest Census evaluation, houses comprised 0.1% of dwellings while other types (semi-detached, apartments, 'other' dwellings) accounted for 99.9%. In contrast, Melbourne metropolitan area had 67.9% houses and 32.1% other dwellings. Home ownership in Melbourne stood at 13.1%, with mortgaged dwellings at 13.6% and rented ones at 73.3%. The median monthly mortgage repayment was $1,800, lower than the Melbourne metro average of $2,000. Median weekly rent was recorded at $381, compared to Melbourne metro's $390. Nationally, Melbourne's mortgage repayments were below the Australian average of $1,863, while rents exceeded the national figure of $375.

Melbourne features high concentrations of group households and lone person households, with a lower-than-average median household size

Family households comprise 37.5% of all households, including 5.7% couples with children, 25.6% couples without children, and 3.1% single parent families. Non-family households account for the remaining 62.5%, with lone person households at 47.2% and group households comprising 15.3%. The median household size is 1.7 people, which is smaller than the Greater Melbourne average of 2.6.

Melbourne shows strong educational performance, ranking in the upper quartile nationally when assessed across multiple qualification and achievement indicators

Melbourne has a notably high level of educational attainment among its residents aged 15 and above, with 61.1% holding university qualifications compared to the broader Australian average of 30.4%. Within Victoria, this figure stands at 33.4%, indicating Melbourne's significant educational advantage. The most common university qualification is a Bachelor degree, held by 37.7% of residents in this age group, followed by postgraduate qualifications (20.6%) and graduate diplomas (2.8%). Vocational pathways are also pursued, with advanced diplomas accounting for 11.0% and certificates for 7.3%.

Educational participation is high, with 42.2% of residents currently enrolled in formal education. This includes 25.4% in tertiary education, 1.7% in primary education, and 1.5% pursuing secondary education.

Transport servicing is high compared to other areas nationally based on assessment of service frequency, route connectivity and accessibility

Transport analysis indicates 206 active transport stops operating within Melbourne, comprising a mix of train, light rail, and bus services. These stops are serviced by 92 individual routes, collectively providing 69,302 weekly passenger trips. Transport accessibility is rated excellent, with residents typically located 95 meters from the nearest transport stop. In this primarily residential area, most residents commute outward. Walking is notably common at 25%, with train use at 22%. Vehicle ownership averages 0.1 per dwelling, below the regional average.

According to the 2021 Census, a high 39.4% of residents work from home, which may reflect COVID-19 conditions. Service frequency averages 9,900 trips per day across all routes, equating to approximately 336 weekly trips per individual stop. The accompanying map displays the 100 nearest stops to the location's centrepoint.

Melbourne's residents boast exceedingly positive health performance metrics with very low prevalence of common health conditions across all age groups

Health outcomes data shows notable results across Melbourne, as assessed by AreaSearch using mortality rates and chronic condition prevalence. The area has a very low prevalence of common health conditions across all age groups.

Approximately 53% of the total population (~39,930 people) have private health cover, slightly higher than the average SA2 area but lower than Greater Melbourne's 56.7%. Mental health issues and asthma are the most prevalent medical conditions, affecting 6.9 and 5.4% of residents respectively. Around 83.6% of residents report being completely clear of medical ailments, compared to 72.6% across Greater Melbourne. The area has a lower proportion of seniors aged 65 and over at 5.8%, with around 4,337 people falling into this age bracket, compared to Greater Melbourne's 15%. Despite this, health outcomes among seniors in the area are strong and align with national rankings for the general population.

Melbourne is among the most culturally diverse areas in the country based on AreaSearch assessment of a range of language and cultural background related metrics

Melbourne has a population where 60.2% speak a language other than English at home, and 70.6% were born overseas. Christianity is the main religion in Melbourne, with 25.6% of people identifying as such. Buddhism comprises 10.2%, which is higher than the Greater Melbourne average of 4.2%.

The top three ancestry groups are Chinese (27.1%), Other (18.5%), and English (13.3%). Notably, Korean (2.1%) and Spanish (0.8%) are overrepresented compared to regional averages of 0.3% and 0.4%, respectively. Indian ancestry is also notably higher at 5.9%.

Melbourne hosts a very young demographic, ranking in the bottom 10% of areas nationwide

Melbourne's median age in 2021 was 27 years, lower than Greater Melbourne's average of 37 and Australia's national average of 38 years. Compared to Greater Melbourne, Melbourne had a higher proportion of residents aged 25-34 (39.9%) but fewer residents aged 5-14 (1.6%). This concentration of 25-34 year-olds was significantly higher than the national average of 14.6%. Following the 2021 Census, Melbourne's median age decreased by 1.6 years to 27 from its previous figure of 29. The proportion of residents aged 15-24 increased from 24.5% to 28.2%, while those aged 25-34 rose from 38.3% to 39.9%. Conversely, the proportion of residents aged 45-54 decreased from 6.8% to 5.5%, and those aged 55-64 dropped from 5.1% to 3.9%. Demographic projections suggest significant changes in Melbourne's age profile by 2041. The 25-34 age cohort is projected to increase by 9,474 people (32%), rising from 29,835 to 39,310 residents.